Townsville hospital construction workers sacked after BPIC changes

Construction workers have been sacked days before Christmas after the state government tore up a tender to upgrade a Qld hospital.

Queensland Premier David Crisafulli and Deputy Premier Jarrod Bleijie. Picture: Supplied

Construction workers have been sacked days before Christmas after the state government tore up a tender to upgrade Townsville University Hospital.

The Courier-Mail can reveal half-a-dozen workers from Besix Watpac’s Townsville office were notified they would be out of a job after Queensland Health withdrew from stage two of a $530m tender to expand the hospital.

Instead, the tender will be retested in the market following the recent abolition of Best Practice Industry Conditions.

Premier David Crisafulli said the tender competition would be stronger after the cost blew out by $480m.

Deputy Premier Jarrod Bleijie. Picture: Richard Walker

“It’s making sure that we choose how to get contractors involved, competitive tension … trying to get other providers to come to Queensland.

“If government hadn’t changed in Queensland, these projects would not have been able to happen. We’ve, in fact, saved those projects.”

Besix Watpac declined to comment on the worker redundancies but acknowledged it would affect the company.

“Besix Watpac has been notified by Queensland Health that the option to proceed into stage two under the existing contract for the Townsville University Hospital Expansion project will not be taken,” a spokeswoman said.

“We have operated in Townsville continuously over the last 24 years and as a major project in the region, this will have an impact on our Townsville business.”

Opposition health spokesman Mark Bailey said the government had effectively sacked workers.

“People will go to Christmas, in Townsville … without jobs – that’s their Christmas present to some Townsville workers,” he said.

Industrial Relations and Infrastructure Minister Jarrod Bleijie said it was not known how many government projects would be withdrawn and retendered, but revealed the next department likely to be impacted would be Transport and Main Roads.

“And here’s my prediction, there’s going to be a lot more people tendering for these projects,” he said.

Townsville University Hospital has been impacted by the BPIC changes.

Mr Bleijie said builders in New South Wales and Victoria approached the government with interest in state infrastructure projects following the BPIC suspension.

Despite the wave of cost blowouts affecting existing projects, including the most recent $6.5bn increase to water infrastructure projects, Mr Crisafulli assured the government would stick to a “traffic light system” to deliver new builds on time and on budget.

Originally published as Townsville hospital construction workers sacked after BPIC changes